Strategic Partnership to Unlock full potential of Tiros Titanium and Rare Earths Project Resouro
Resouro Strategic Metals Inc.
BC0430203 (Canada) ARBN 671 716 457 (Australia)
Suite 250, 997 Seymour Street, V ancouver, British Columbia, Canada V6B 3M1 – Tel: +1 403 807 2948
Level 10, Kyle House, 27-31 Macquarie Place, Sydney NSW 2000 – Tel: + 61 407 123 143
1 | P a g e
ASX: RAU
TSXV: RSM
OTCQB: RSGOF
TSXV Release ASX Release
27 April 2025 28 April 2025
Strategic Partnership to Unlock full potential
of Tiros Titanium and Rare Earths Project
Resouro Strategic Metals Inc. (ASX: RAU; TSX-V: RSM; FSE: 8TX; OTCQB: RSGOF) ("Resouro" or
the "Company") is pleased to announce the unveiling of a new advanced processing deal to unlock
high-value mineral extraction at its globally significant Tiros Titanium and Rare Earths Project
(“Tiros Project” or “Tiros” or “Project”) in Minas Gerais, Brazil.
Resouro’s subsidiary, Tiros Minerais Estrategicos Minera çao LTDSA ( Tiros Miner ação), has
entered into a binding Memorandum of Understanding (MoU) with YM Serviços Minerais LTDA
(YM Serviços) to develop and supply an innovative, high -performance metallurgical process for
Tiros.
The MoU follows encouraging results from initial proof-of-concept tests on composite sample s
from Tiros using the Fusion Sulphuric Acid Leach (“FSAL”) process developed by YM Serviços.
YM Serviços and Resouro have now started additional test work under the MoU to verify initial
results and to optimise the operating conditions.
On completion of these optimisation tests, the Company will pro cess a 200-kilogram composite
sample from the high-grade zone at Tiros to produce:
• high-quality and high-purity titanium concentrates;
• a precipitated mixed rare earths oxide (MREO) or a rare earths carbonate
(MREC);
• determine the specifications of other by -products and their potential
marketability; and
• produce sample quantities necessary for customer assessment.
Resouro Strategic Metals Inc.
BC0430203 (Canada) ARBN 671 716 457 (Australia)
Suite 250, 997 Seymour Street, V ancouver, British Columbia, Canada V6B 3M1 – Tel: +1 403 807 2948
Level 10, Kyle House, 27-31 Macquarie Place, Sydney NSW 2000 – Tel: + 61 407 123 143
2 | P a g e
On a positive outcome of this work program, the Company plans to move forward to a
pilot plant test on a significantly larger sample in the second half of the year.
The high-value technology developed in this strategic partnership will be designed to maximise
product recovery and aims to eliminate or substantially reduce waste disposal from the
metallurgical process.
Importantly, the MoU allows the Company to continue exploring other metallurgical processes in
parallel to ensure the most viable method of extraction for the Tiros Project is achieved.
Commenting on the MoU, Resouro’s CEO Alistair Stephens said:
“This agreement marks a significant milestone for our Tiros Project and solidifies Resouro’ s
position as a leader in sustainable processing of vital in -demand minerals. By securing exclusive
access to a cutting-edge FSAL process developed by YM Serviços, we are unlocking the potential
to efficiently extract a suite of high-value minerals, including titanium, rare earths, iron and silica.
This strategic partnership places us at the forefront of innovative mineral processing in Brazil and
provides significant scope to enhance Tiros' economic viability, reinforcing the highly attractive
opportunity the Project represents.”
Innovative Process Technology
YM Serviços specializes in mineral analytical services with the expertise to develop and supply an
innovative, high-performance metallurgical process for the Tiros Project.
Under the terms of the MoU, YM Servi ços will develop a FSAL metallurgical process for
processing and recovering titanium, rare earths, and potential byproducts of iron oxide, alumina,
and silica. Resouro will have absolute exclusivity and perpetuity to the technology for the entire
Capacete Geological Formation, which hosts the mineralisation of the Tiros Project.
To validate the merit of the technology and its application to the Tiros Project , the Company
progressed a proof -of-concept metallurgical test using a two -kilogram composite sample from
Tiros. The Company will now progress a series of three-kilogram bench test programs to assess the
impact of different temperatures and sulfuric acid ratios to determine optimal operating conditions.
Resouro Strategic Metals Inc.
BC0430203 (Canada) ARBN 671 716 457 (Australia)
Suite 250, 997 Seymour Street, V ancouver, British Columbia, Canada V6B 3M1 – Tel: +1 403 807 2948
Level 10, Kyle House, 27-31 Macquarie Place, Sydney NSW 2000 – Tel: + 61 407 123 143
3 | P a g e
Other Metallurgy Test Works
The Company has undertaken several campaigns of metallurgical tests on Tiros mineralisation to
assess the potential for extracting titanium and rare earth minerals.
Initial test work using nitric acid returned promising extractions of 81% for Total Rare Earth Oxides
(TREO) and, importantly, 96% for the Magnet Rare Earth Oxides (MREO) component1. Follow
up work is pending outcomes from beneficiation works that could lead to a concentrate product for
further nitric acid test work. This work specifically is targeting the removal of titanium minerals,
iron minerals and silica that are inert in the nitric acid process. Nitric acid tests could then target a
smaller volume of concentrated rare earths bearing mineralisation.
Beneficiation test work for the separation of titanium and iron minerals remains in progress. A
200kg s ample is being tested by magnetic and gravity separation techniques, to determine the
liberation and recovery parameters for the optimisation of a concentrate flow sheet. These works
are on-going while other tests are currently being scoped.
The Company has also conducted tests for the leaching of rare earths using ammonium sulphate
that achieved recoveries below expectation. This is supported with mineralogical work that
identifies that a significant portion of the rare -earth mineralisation is present in mineral form and
a small portion as an ionic absorption clay. This has helped direct the Company to assess
beneficiation test work for rare earths mineral recovery.
NEXT STEPS
The Company will progress the FSAL test work on 3kg samples for the optimisation of process
operating conditions. This work is expected to be completed by the end of the second quarter of
2025. The optimisation of the FSAL process will be followed by a 200kg test that is expected to
commence early in the third quarter of 2025 and used as the basis of a Scoping Study and
preliminary economic assessment. The Company expects that these works will be followed by a
pilot plant study for the basis of a pre -feasibility study with a target of completion by the end of
the current calendar year.
1 For full results including relevant JORC Table information and Competent P ersons Statement, refer to ASX release
dated 13 August 2024/TSXV 12 August, 2024 titled “Outstanding Metallurgical Test Results – Tiros Project.”
Resouro Strategic Metals Inc.
BC0430203 (Canada) ARBN 671 716 457 (Australia)
Suite 250, 997 Seymour Street, V ancouver, British Columbia, Canada V6B 3M1 – Tel: +1 403 807 2948
Level 10, Kyle House, 27-31 Macquarie Place, Sydney NSW 2000 – Tel: + 61 407 123 143
4 | P a g e
Parallel beneficiation test works should be completed during the third quarter of 2025 with the
outcome used to determine the flowsheet for the pilot plant.
The Company is also anticipating that a mineral resource estimate for the Northern Block should
be available by the end of the second quarter of 2025.
Commercial terms of the MoU2
Payments by Resouro for exclusive and perpetual use of the FSAL process over the Capacete
Geological Formation:
a) BRL 30,000/month (circa AUD$8,000/month, CAD$7,000/month) up to 12 months or
until the conclusion of the Pre-Feasibility Study (PFS), starting with laboratory tests on
two 200-kilogram samples, whatever comes first;
b) BRL 2,000,000 (circa AUD$540,000 / CAD$480,000) upon successful completion of
pilot tests (30-ton sample) and issuance of the PFS, subject to at least one signed off-take
agreement that will be paid in two monthly instalments of equal value; and
c) BRL 10,000,000 (circa AUD$2.7M / CAD$2.4M) based on 10% Net Profit Interest from
the demonstration plant’s positive cash flow, capped at this amount. Early payment is
optional.
Other Provisions
a) Tiros Mineração shall bear the costs of patent registration, which will remain under the
ownership of YS Serviços with exclusive and perpetual use to Tiros Mineração for the
Capacete Geological Formation (that hosts the Tiros Project mineralisation);
b) Once all payments are completed, no further royalties or financial obligations shall be
owed to YM Serviços; and
c) Tiros Mineração may withdraw from using the FSAL method at any time, with no further
payments due, provided it ceases all use of the method.
2 Using rounded number at a conversion of 1.00BRL to 0.27AUD and 0.24CAD
Resouro Strategic Metals Inc.
BC0430203 (Canada) ARBN 671 716 457 (Australia)
Suite 250, 997 Seymour Street, V ancouver, British Columbia, Canada V6B 3M1 – Tel: +1 403 807 2948
Level 10, Kyle House, 27-31 Macquarie Place, Sydney NSW 2000 – Tel: + 61 407 123 143
5 | P a g e
Conditions Precedent
a) The commercial effectiveness of the MoU is subject to the full viability of laboratory testing
on two 200-kilogram samples from the Tiros Project, which shall support the feasibility of
a 30-ton pilot test.
b) The BRL 2,000,000 payment is contingent upon:
• Successful completion of metallurgical pilot tests using the FSAL process;
• The completion of a PFS; and
• The execution of at least one off-take agreement.
c) Tiros Mineração’s obligation to pay BRL 10,000,000 is conditional upon achieving a
positive financial outcome from commercial production at the demonstration plant stage
using the FSAL process.
Full terms of the MoU will be contained within long form documents to be agree d between the
parties within the next 120 days.
This announcement has been authorized for release by the Board of Directors.
Contact Information:
Chris Eager,
Executive Chair (Santiago)
+44 7388 0579809
Alistair Stephens
Chief Executive Officer (Perth)
+614 88 99 25
Emily Evans, SPOKE
Media and Content Manager
+61 401 337 959
About the Company
Resouro is a Canadian incorporated mineral exploration and development company, listed on the ASX, TSXV ,
OTC and FSE, focused on the discovery and advancement of economic mineral projects in Brazil, including the
Tiros Titanium -Rare Earths Project and the Novo Mundo Gold Project. The Tiros project has 28 mineral
concessions totalling 497 km 2 located in the state of Minas Gerais, one of the best infrastructurally developed
states of Brazil, 350 km from the state capital of Belo Horizonte. Resouro's Mineral R esource Estimate for the
Tiros Project contains 165 million tonne of titanium dioxide and 5.5 million tonne of total rare earths oxides within
a Measured and Indicated Resource of 1.4 billion tonne.
Resouro Strategic Metals Inc.
BC0430203 (Canada) ARBN 671 716 457 (Australia)
Suite 250, 997 Seymour Street, V ancouver, British Columbia, Canada V6B 3M1 – Tel: +1 403 807 2948
Level 10, Kyle House, 27-31 Macquarie Place, Sydney NSW 2000 – Tel: + 61 407 123 143
6 | P a g e
Note: Further details of the Company’ s JORC MRE are contained within the Company’ s ASX announcement of 9
April, 2025/TSXV 8 April 2025. Resouro is not aware of any new information or data that materially affects the
information included in the Company’ s announcement and that all material assumptions and technical parameters
underpinning the estimates referred to therein continue to apply and have not materially changed.
Resouro Strategic Metals Inc., capital structure
ASX Chess Depositary Interests 42,833,059
TSXV Common Stock 49,756,990
Total on Issue 92,590,049
Shares held in Escrow included in Total on Issue 10,979,257
Options issued under the Company Plan 12,495,000
Options issued to Brokers 1,843,643
Warrants issued to Brokers 600,616
Performance Rights 750,000
Fully Diluted Securities 108,279,308
DOMAIN Category Million Tonne TiO2 % TREO (ppm) MREO (ppm)MREO/TREO ratio
HG (High Grade) Measured 30 24 9,300 2,500 27%
Indicated 74 23 8,900 2,300 26%
M + I 103 23 9,100 2,400 26%
Inferred 33 22 8,300 2,200 26%
MG (Medium Grade) Measured 340 11 3,700 1,000 28%
Indicated 930 11 3,600 1,000 28%
M + I 1,300 11 3,600 1,000 28%
Inferred 470 11 3,400 920 27%
TOTAL (HG+MG) Measured 367 12 4,100 1,100 28%
Indicated 1,000 12 4,000 1,100 27%
M + I 1,400 12 4,000 1,100 28%
Inferred 500 12 3,700 1,000 27%
Resouro Strategic Metals Inc.
BC0430203 (Canada) ARBN 671 716 457 (Australia)
Suite 250, 997 Seymour Street, V ancouver, British Columbia, Canada V6B 3M1 – Tel: +1 403 807 2948
Level 10, Kyle House, 27-31 Macquarie Place, Sydney NSW 2000 – Tel: + 61 407 123 143
7 | P a g e
Forward-Looking Information
This news release contains certain "forward -looking information" within the meaning of applicable securities law.
Forward-looking information is frequently characterized by words such as "plan", "expect", "project", "intend",
"believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or
"will" occur. Although we believe that the expectations reflected in the forward -looking information are reasonable,
there can be no assur ance that such expectations will prove to be correct. We cannot guarantee future results,
performance or achievements. Consequently, there is no representation that the actual results achieved will be the
same, in whole or in part, as those set out in the forward-looking information.
Forward-looking information is based on the opinions and estimates of management at the date the statements are
made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results
to differ materially from those anticipated in the forward-looking information. Some of the risks and other factors that
could cause the results to differ materially from those expressed in the forward -looking information include, but are
not limited to: general economic conditi ons in Canada and globally; industry conditions, including governmental
regulation and environmental regulation; failure to obtain industry partner and other third party consents and
approvals, if and when required; the need to obtain required approvals fr om regulatory authorities; stock market
volatility; liabilities inherent in the mining industry; competition for, among other things, skilled personnel and
supplies; incorrect assessments of the value of acquisitions; geological, technical, processing and transportation
problems; changes in tax laws and incentive programs; failure to realize the anticipated benefits of acquisitions and
dispositions; and the other factors. Readers are cautioned that this list of risk factors should not be construed as
exhaustive.
The forward-looking information contained in this news release is expressly qualified by this cautionary statement. We
undertake no duty to update any of the forward -looking information to conform such information to actual results or
to changes in our expectations except as otherwise required by applicable securities legislation. Readers are cautioned
not to place undue reliance on forward-looking information.
Neither the ASX, OTC, TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the
policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.